Yes, Robinhood lets you buy and sell cryptocurrency, but only a limited list of coins

Robinhood offers cryptocurrency trading through its Crypto platform, which is separate from its stock and options trading. You can hold Bitcoin, Ethereum, Dogecoin, and a rotating selection of other cryptocurrencies — currently around 17 coins total, though the exact list changes. You trade them the same way you trade stocks: place an order, set a price or buy at market, and the transaction settles in your account.

The catch is that Robinhood's crypto selection is much smaller than what you'll find on dedicated crypto exchanges like Coinbase or Kraken. If you want to trade altcoins or newer tokens, you'll need to move to a different platform. Robinhood also doesn't let you transfer crypto out to a wallet or exchange — you can only hold it in your Robinhood account or sell it back to cash.

Key Takeaways

  • Robinhood's crypto platform lets you buy and sell Bitcoin, Ethereum, Dogecoin, and about 14 other coins, but the list is limited compared to other exchanges.
  • You cannot transfer cryptocurrency out of Robinhood to another wallet or exchange — you can only hold it in your account or sell it for cash.
  • Robinhood charges no commission on crypto trades, but the spread (the difference between buy and sell price) is how the company makes money.
  • Crypto holdings in Robinhood are not insured by the FDIC or SIPC, so you are taking on the full risk if the platform fails or is hacked.
  • You need a Robinhood account and must be at least 18 years old to trade crypto on the platform.

Which cryptocurrencies Robinhood actually offers

Robinhood's crypto menu includes the major coins: Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), Litecoin (LTC), Bitcoin Cash (BCH), and Ethereum Classic (ETC). Beyond those, the platform rotates in and out smaller coins — Cardano, Solana, Polkadot, and others have been available at different times. The full current list appears in the Robinhood app under the Crypto tab.

The platform does not publish a formal roadmap for which coins will be added next, so you cannot plan around future availability. If a coin you want to trade is not listed, your only option is to move to Coinbase, Kraken, or another exchange that carries a wider selection. Some people maintain accounts on multiple platforms for this reason.

How to start trading crypto on Robinhood

If you already have a Robinhood brokerage account, crypto trading is already available to you — you just tap the Crypto tab in the app. If you don't have an account yet, you'll need to download the Robinhood app, provide your name, date of birth, Social Security number, and address, and link a bank account for deposits. The account setup takes about 10 minutes.

Once your account is open, you can deposit cash and buy crypto immediately. Robinhood does not require a minimum balance to start trading crypto, though your bank may have limits on how much you can transfer at once. Deposits typically settle within one to three business days, depending on your bank.

Robinhood's crypto fees and spreads

Robinhood charges zero commission on crypto trades — you won't see a separate fee line item the way you might on other platforms. Instead, Robinhood makes money through the spread, which is the gap between the price you pay to buy and the price you receive when you sell. On a volatile coin, that spread can be 1% to 2% or wider, which means you're paying that much more than the actual market price just to enter or exit a position.

Dedicated crypto exchanges like Coinbase and Kraken typically charge a flat percentage fee (often 0.5% to 1%) but may offer tighter spreads on high-volume coins. If you're trading frequently or in large amounts, the math might favor a traditional exchange. For casual buyers holding long-term, Robinhood's zero-commission structure is often cheaper.

What you cannot do with crypto on Robinhood

Robinhood does not let you transfer cryptocurrency out of your account to an external wallet or another exchange. You cannot send Bitcoin to a hardware wallet, move Ethereum to a DeFi protocol, or consolidate holdings across platforms. This is a major limitation if you want to use your crypto for anything other than holding it or selling it back to cash.

You also cannot deposit crypto into Robinhood — you can only buy it with cash. If you own Bitcoin elsewhere and want to move it to Robinhood, you have to sell it first, transfer the cash, and buy it again on Robinhood. This creates tax events and defeats the purpose of consolidating your holdings.

Insurance and security risks

Cryptocurrency held in a Robinhood account is not insured by the FDIC (which covers cash) or the SIPC (which covers stocks and bonds). If Robinhood is hacked, goes bankrupt, or experiences a technical failure that wipes out your holdings, you have no federal protection. Robinhood does carry cyber insurance and maintains security practices, but the risk is yours to bear.

Cash in your Robinhood account is FDIC-insured up to $250,000, so if you're holding money waiting to buy crypto, that's protected. But once you convert it to Bitcoin or Ethereum, that protection ends. This is one reason some investors prefer hardware wallets or dedicated crypto custodians for large holdings.

Robinhood crypto versus dedicated exchanges

Robinhood is convenient if you already use the platform for stocks and want to add crypto to the same account. The interface is simple, there are no withdrawal fees (because you can't withdraw), and commission is zero. But you're trading a smaller selection of coins, paying spreads instead of transparent fees, and giving up the ability to move your crypto elsewhere.

Coinbase, Kraken, and other dedicated exchanges offer hundreds of coins, lower spreads on major coins, the ability to transfer to wallets, and staking or lending features. They charge fees, but you get more control and options. The right choice depends on whether you want simplicity and integration with your stock portfolio, or flexibility and access to a wider crypto market.

Frequently Asked Questions

Do I need a separate account to trade crypto on Robinhood?

No. If you have a Robinhood brokerage account, crypto trading is built in. You access it through the Crypto tab in the app. If you don't have an account, you create one the same way you would for stocks.

Can I buy fractional shares of Bitcoin or Ethereum on Robinhood?

Yes. Robinhood lets you buy crypto in dollar amounts rather than whole coins, so you can invest $50 in Bitcoin even though one Bitcoin costs much more. This makes crypto accessible if you don't have thousands to invest upfront.

What happens to my crypto if Robinhood shuts down?

Robinhood holds your crypto in custody, meaning they control the private keys. If the company fails, your holdings are at risk because they're not insured. This is why some investors prefer self-custody (holding their own private keys) or using a regulated custodian with insurance.

Can I use Robinhood crypto to pay for things?

No. Robinhood's crypto is for holding and trading only. You cannot spend it directly from your account. You would have to sell it for cash first, then use the cash to pay for something.

Is trading crypto on Robinhood taxable?

Yes. Every time you sell crypto for a gain, you owe capital gains tax. Robinhood provides tax documents (Form 8949) at year-end, but you're responsible for reporting the transactions to the IRS. Holding crypto long-term (over one year) may may have access to for lower tax rates depending on your income.